Acting through its subsidiary the North Alabama Revolving Loan Fund, LLC, NCI will offer working capital loans up to $25,000 to help small businesses cover operating expenses in instances where their monthly income is insufficient to cover their monthly obligations due to circumstances related to COVID-19.

Since 2013, NCI has been offering loans to small businesses in North Alabama that are not ready for traditional financing. Many of the businesses are food-related or others that lack sufficient capital to weather any disruptions.

“We are working with our existing borrowers to offer modifications and deferments to help them ride out the storm but wanted to do more to help meet the needs of local businesses in our area,” said NCI Executive Director Mary Ellen Judah. In response to this need, NCI’s board of directors acted quickly to authorize the $25,000 emergency line of credit product.

Small businesses in North Alabama who have been impacted by recent closures or other COVID-19 disruptions may apply for up to $25,000 to fund operating expenses. The loans will be structured as a non-revolving six-month line of credit at a fixed rate of 5 percent.

“Borrowers must have been in business for at least 12 months and be able to meet certain other eligibility requirements, but our intent is to streamline the application process so we can get the funds in the hands of qualifying businesses relatively quickly,” said NCI Loan Fund Manager John Thornton.